Quick Service Restaurant Marketing – the $40 Billion Opportunity

Consumers with “no brand preference” present a $40 billion opportunity for quick service restaurant marketing across the US. Learn to target them and drive new customer growth in our blog post.

Consumers who say they have no brand preference are now the #2 category segment in the Quick Service Restaurant (QSR) category. This segment presents a $40 billion opportunity for quick service restaurant marketing across the US.

  • 24% of QSR/Fast Casual consumers prefer McDonald’s, the largest segment within the category.
  • The No. 2 category segment is ‘No Preference’ with a 21% share.

What does this mean for your quick service restaurant (QSR)? Based on the average check of $12.60 for the no QSR brand preference customer, increasing your traffic just 3% would generate $34,000 annually.

Each No Preference consumer is spending $365 Annually on QSR/Fast Casual purchases, based on current trends. To achieve a 3% lift in traffic, you would only have to convert approximately 225 customers per month, or 56 per week.  Greater increases grow your ROI at an even higher rate.

Slow Churn and Drive New Customer Growth

Understanding this invisible “competitor” presents a tremendous opportunity to slow churn and drive new, loyal customer growth.

What is important to the No Preference consumer and what composes the right elements of value which will gain their attention?

Your strategy to reach this segment becomes to motivate them with compelling offers to generate trial, and then win them over with your exceptional service and great tasting food.

Record inflation of 9.1% is outpacing growth in wages. Discretionary spending is down as prices for household necessities such as gasoline, utilities, and groceries continue to climb.

As prices increase, customers are trading brand preference and loyalty for greatest perceived value. Brands that understand the new consumer value equation can create preference and steal share.

Coordinated Exposure Amplifies Your Message

  • 31% of QSR/Fast Casual Consumers are influenced by print media, making direct mail a critical lever in your media mix.
  • 62% of QSR/Fast Casual Consumers are influenced by Print and Digital Channels, 4 points higher than Restaurants overall.
  • 43% of Consumers are likely to make a purchase after receiving both print and digital advertising from a brand.

A healthy media mix is built on coordinated direct mail and digital display to increase reach and response. Gain more restaurant industry insights, including our new Restaurant Marketing eBook, on our resources page. Reach out today to plan your strategy!

Sources: Prosper Insights & Analytics February 2022; SG360 The Future of Direct Mail, 2021; Prosper Insights – MBI Survey, January 2022; USPS Mail Moments Survey, Spring 2021